THE SITUATION IN SOUTH VIETNAM

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Document Number (FOIA) /ESDN (CREST): 
CIA-RDP79T00826A000500010052-3
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RIPPUB
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S
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27
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December 21, 2016
Document Release Date: 
September 4, 2007
Sequence Number: 
52
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Publication Date: 
April 6, 1966
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REPORT
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Approved For Release 2007/09/04: CIA-RDP79T00826A000500010052-3 A16,-0 SECRET OCI No. 0368/66 ~? Copy No. THE SITUATION IN SOUTH VIETNAM 6 April 1966 INTELLIGENCE AND REPORTING SUBCOMMITTEE OF THE INTERAGENCY VIETNAM COORDINATING COMMITTEE DIA review(s) completed. USAID review SECRET completed GROUP I State Dept. review Excluded from o omatic completed downgrading and declassification Approved For Release 2007/09/04: CIA-RDP79T00826A000500010052-3 WEEKLY REPORT Approved For Release 2007/09/04: CIA-RDP79T00826A000500010052-3 THIS MATERIAL CONTAINS INFORMATION AFFECT- ING THE NATIONAL DEFENSE OF THE UNITED STATES WITHIN THE MEANING OF THE ESPIONAGE LAWS, TITLE 18, USC, SECTIONS 793 AND 794, THE TRANSMIS- SION OR REVELATION OF WHICH IN ANY MANNER TO AN UNAUTHORIZED PERSON IS PROHIBITED BY LAW. Approved For Release 2007/09/04: CIA-RDP79T00826A000500010052-3 Approved For Release 2007/09/04: CIA-RDP79T00826A000500010052-3 L t.IUK_n1 Aftwo OCI No. 0368/66 Published by the Directorate of Intelligence Central Intelligence Agency THE SITUATION IN SOUTH VIETNAM (31 March - 6 April. 1960) THE WEEK IN PERSPECTIVE Map, South Vietnam, facing page 1. THE SITUATION IN SOUTH VIETNAM. A. POLITICAL SITUATION The political situation is fluid enough to be solved or simmer on (p. 1); Da Nang and Hue have been focal points (p. 1); Saigon demon- strations kept under control (p. 1); Saigon government trying carrot-and- stick tactics for a solution (p. 1); Political convention promised (p. 1); Ky delays con.fron.tation in Da Nang (p. 2); Airlift of tanks planned (p. 2); Hue 1st Division commander's loyalty questionable (p. 2); Buddhists and northerners absent from preliminary ses- sions of planned political convention (p. 2); Buddhist monk Tri Quang has reiterated his position on a political solution and has claimed responsibility for the antigovernment movement in I Corps (p. 3); The Buddhist antigovern- ment campaign lends itself to possible Viet Cong exploitation (p. 3); Saigon's ruling.generals have varying ideas for ending the political crisis (p. 4). SECRET Approved For Release 2007/09/04: CIA-RDP79T00826A000500010052-3 Approved For Release 2007/09/04: CIA-RDP79T00826A000500010052-3 Page Communist activity continued at high level with terrorism attributable to attempts to intimidate the populace, (p. 7); Weekly statistics (p. 7); Friendly large-unit actions increase (p. 7); Notable allied successes in I, II, and III Corps (p. 8); Air strike results noted (p. 8); Viet Cong most active in I Corps (p. 9); Concentrated VC efforts expected in 11 Corps (p.10); Terrorism increase in IV Corps (p. 11); Status of transportation routes (p.11). Map, Transportation Routes, facing page 11 Population apathetic to military-clerical struggle (p. 12); An Giang Province now is National Priority area with new chief (p., 12); Development funds being spent faster this year (p. 12); Favorable Chieu Hoi returnee figures noted (p. 13); VC fail, to intimidate refugees (p. 13)? Map, North Vietnam, facing page 14 Liberation Front and North Vietnamese delegations to Soviet congress echo Com- munist determination but emphasize middle- of-the-road position in Sino-Soviet dis- pute. (p. 14). GVN economy and finance minister in Seoul for trade talks (p. 15); Foreign. Minister Do's press conference plays up Hanoi?s Trojan. Horse policy (p. 15); West Germany pledges hospital ship (p. 15); ROK JCS chairman discusses sending 20,000 troops (p. 15). ,SECRET Approved For Release 2007/09/04: CIA-RDP79T00826A000500010052-3 Approved For Release 2007/09/04: CIA-RDP79T00826A000500010052-3 ANNEX: South Vietnam Battle Statistics--Personnel Losses (Weekly) South Vietnam Battle Statistics--Incidents and Attacks (Weekly) (The Weekly Report on the Situation in South Vietnam is based on contributions from CIA, DIA, and INR; it is edited and published by CIA without final coordination.) SECRET Approved For Release 2007/09/04: CIA-RDP79T00826A000500010052-3 Approved For Release 2007/09/04: CIA-RDP79T00826A000500010052-3 THE WEEK IN PERSPECTIVE The political situation in South Vietnam has con- tinued to deteriorate, particularly in I Corps, but also through the spread of demonstrations in II Corps and in Saigon itself. The Ky government is still trying to resolve the problem with action on two fronts, includ- ing possible imminent use of force to reassert its authority in Da Nang and steps to move ahead on its plans for a constitutional council in Saigon. The crisis could be approaching a climax but may well simmer on for some time. SEGREI -7 Approved For Release 2007/09/04: CIA-RDP79T00826A000500010052-3 Approved For Release 2007/09/04: CIA-RDP79T00826A000500010052-3 %W 1.4ow Savannakhet PHU eo ? BON KIEN GIANG KIEN N cHAU PHONG ooc Long ,KIEN HOA PHUOC 61NH LONG LONG n BINH Hoa TUY INN eIEN Noe- PHUOG TUY DARLAt ,~Ql ang Ngai QUANG 11 NGAI f )BINH. , TklpAftf PHU YEN .Pakse C A M B O DIA TAY r NINH may Nin THUA THJE14 r, ,-.I QUANG tP Saravane f- NAM .Attopeu KONTUM BINH DIP{'i An Khe L } SOUTH VIETNAM CURRENT SITUATION IHANH'l4 HOA Nha Trang NINH THUA[I ..%i~han Rang Approved For Release 2007/09/04: CIA-RDP79T00826A000500010052-3 Approved For Release 2007/09/04: CIA-RDP79T00826A000500010052-3 1. The political situation has continued to de- teriorate, particularly in I Corps, but is still suf- ficiently fluid that it could either move toward a final. showdown, or continue to simmer on for some time. 2. During the past week, demonstrations continued in various towns of I Corps, with the main focus on Hue and Da Nang, and with increasing evidence of par- ticipation by local police, army troops, and civil servants. Protest activity has spread increasingly in the provincial capitals in II Corps, with disorders reported in Pleiku, Nha Trang--now under martial law, and Dalat--still in a state of tension despite the dispatch of combat police units. 3. In Saigon itself, demonstrations led by Bud- dhist youths have occurred almost daily this week, although police and airborne troops have kept the situation under control. On several occasions, how- ever, tear gas and other riot techniques have been required to disperse unruly groups of demonstrators. 4. The character of the protest activity has shifted almost entirely to denunciations of the gov- ernment in Saigon and of the US for alleged "political interference." On one occasion in Saigon, demonstra- tors reportedly were heard shouting slogans favoring Ho Chi Minh, and simultaneously attacking the moder- ate wing of the Buddhist hierarchy. 5. After leaving most of the burden of handling the protest campaign to local authorities such as the extremely passive officials in I Corps, the military government in Saigon now is trying to curb the unrest with a combination of carrot-and-stick tactics. This dual policy was spelled out by the -top generals at a press conference on 3 April, following a convocation of the Armed Forces Congress, or supreme governing authority in the country. A communique on the con- gress' decisions announced that a national political convention., representing various political and re- ligious views, would be held to hammer out a plan. for transitional steps to civilian rule. At the same time, ,SECRET Approved For Release 2007/09/04: CIA-RDP79T00826A000500010052-3 Approved For Release 2007/09/04: CIA-RDP79T00826A000500010052-3 it was announced that "strong measures" would be used to restore order in the country, with Premier Ky making it clear, under questioning, that troops would be sent to "retake" Da Nang from "Communist hands." In a third step, Vietnamese officials acted to defend the US from charges of interference and "colonialism." 6. On 4 April, Ky began the airlift of three Vietnamese Marine battalions to Da Nang air base in apparent preparation for a move on the city. Ky himself flew to the base to take charge of the oper- ation, but after conferences with I Corps commander General Chuan, put off any immediate move, and is- sued a public statement partially retracting his earlier charge that Da Nang was under Communist con- trol. Although details of the Ky-Chuan talks are not available, Chuan has indicated publicly that he warned Ky of possible armed conflicts between the marines and I Corps units which he had brought in to defend Da Nang. 7. Although Ky returned to Saigon on 5 April, he apparently has not abandoned his determination on a show of force at Da Nang, whose mayor he has accused of fomenting agitation and of allowing Com- munists into the "struggle" movement leadership. Ky has arranged for the airlift to Da Nang airfield of tanks which would accompany marine elements on. a move to seize key points in the city such as the municipal offices, police headquarters, and the radio station. Military Security Service chief Colonel Loan, Ky's former air force deputy, is re- portedly charged at present with conducting the op- eration, but the timing is still in doubt. 8. Of the two South Vietnamese Army divisions normally based in I Corps the 2nd Division, head- quartered at Quang Ngai city, is regarded by Sai- gon officials as loyal. The new lst Division com- mander at Hue, General Nhuan, is an ardent Buddhist, whose troops have been active in antigovernment demonstrations. Nhuan, soon after marine units be- gan arriving at Da Nang air base, openly declared his sympathy for the "struggle" movement, vowing to defend Hue not only against the Viet Cong but against a Saigon "takeover." He also attempted to send some units to help defend Da Nang against Ky's marines. SECRET Approved For Release 2007/09/04: CIA-RDP79T00826A000500010052-3 Approved For Release 2007/09/04: CIA-RDP79T00826A000500010052-3 Since Ky's retraction of his charges of Communist control in Da Nang, however, Nhuan has been pri- vately declaring his quarrel with Saigon over, de- ploring a US decision to withdraw US advisers from the 1st Division's tactical units, and promising to send troops now in. Hue back to their operational base. The ultimate loyalties of I Corps commander Chuan are still questionable, but it is clear that he has strong reservations against an operation im- posing government control in Da Nang by force. 9. While the use of government troops against I Corps continues to be imminent, the government is simultaneously proceeding to press forward on a po- litical solution in Saigon. On 6 April, preliminary sessions of the projected national political conven- tion were begun. These followed several days of in- tensive private government communications with leaders of the Buddhist hierarchy, hinting at concessions in an effort to get Buddhist leaders to tone down agita- tion before force is required. Although the Buddhists indicate some willingness to continue a dialogue to- ward political compromise, their position has shown little real give. Buddhist Institute chairman Thich Tam Chau previously counseled patience to give the government time to meet its "promises," but on 5 April he told a crowd in Saigon that the national political convention was actually a step backward by Ky, and that the Buddhists were demanding an elected constituent assembly within three months. Buddhist leaders have boycotted the preliminary session of the national convention, as apparently, have representa- tives of both I and II Corps. the full political con.ven.tion, pre- sumably still without Buddhist and northern partici- pants, will meet early next week and set up a con- stitution. drafting body essentially as last envisaged by the ruling Directorate. This plan involves a council, with one-half of its membership drawn from the provincial and municipal councils elected in 1965, and one-half appointed from among leading po- litical and religious factions. This formula has already been declared unsatisfactory by the Buddhists. 11. A conversation of Buddhist monk Tri Quang with an American observer on 6 April elicited a SECRET Approved For Release 2007/09/04: CIA-RDP79T00826A000500010052-3 Approved For Release 2007/09/04: CIA-RDP79T00826A000500010052-3 repetition of Quang's position that a political solu- tion, requires either a "constituent assembly" com- posed entirely of members from the local councils, or an assembly to be elected in three months. This assembly would be empowered to confirm the present government leadership--Chief of State Thieu and Pre- mier Ky--in office, thus obviating the need for the military Directorate, as well as to draft a consti- tution and electoral laws. This would lead to a truly representative government, responsive to the assembly as a legislature. Quang insisted that the Buddhists had not set out to "overthrow," but rather to "strengthen," the present government, but he im- plied that Ky would be "finished" if he used force against central Vietnam. Quang stated that he was responsible for the antigovernment movement in I Corps, and implied that, despite the movement's anti-American overtones, he fully recognized Viet- nam's need for US support. 12. There has been no question of the influence of Tri Quang and the Buddhist organization in the present antigovernment campaign. Although allega- tions of Viet Cong influence on or direction of Quang and other members of the Buddhist hierarchy have long been made, they cannot presently be sub-' stantiated. There is an obvious parallel between the propaganda, tactics, and organizational struc- ture of the present "struggle movement"--a multitude of "struggle committees" representing various eco- nomic and social strata among the populace--and those of the Communists. Low-level Vietnamese se- curity penetrations have reported considerable evi- dence of Viet Cong penetration particularly in Da Nang, of the "struggle committees," which draw heavily on key Communist target groups such as students, workers, and Buddhists. Whether or not the Buddhists are witting, or merely feel that they can use and contain Communist influence, their anti- government campaign obviously lends itself to pos- sible Viet Cong exploitation. 13. There continue to be signs of strain among Saigon's ruling generals over the proper means of dealing with the present crisis. Premier Ky is taking a somewhat ambiguous position, of alternately advocating both a tougher line and greater concessions SECRET Approved For Release 2007/09/04: CIA-RDP79T00826A000500010052-3 Approved For Release 2007/09/04: CIA-RDP79T00826A000500010052-3 than are deemed wise by some of his colleagues. Directorate Secretary-General Chieu, who was temporarily "seized" by antigovernment elements in Hue while on a mission to try to bring ousted I Corps commander Thi back to Saigon, feels he is now under some suspicion by the Saigon junta. Chieu tends to advocate a moderate course; he apparently now feels that Thi is the only general with the po- tential to bring I Corps back into the fold, provided he is not driven into open collaboration with-'the "struggle groups." Defense Minister Co, normally hostile to Buddhist aspirations, is now in Da Nang, where, although reported to be a hostage of antigovernment elements, he is publicly proclaiming that he is working out a political solu- tion. Economic Situation 14. At a press conference on 30 March, Minister of Economy Au Truong Thanh emphasized the GVN's duty to combat inflation and announced tax measures calcu- lated to yield about one billion piasters in addi- tional revenue per year. Strict collection of the automobile tax and the tax on excessive rents is expected to yield 600-700 million piasters. The conversion of the tax on restaurants and bars from a percentage of the proceeds to a flat assessment is expected to yield an estimated 400 million piasters. Thanh left open the possibility of additional taxes within the next two months. He also stated that commodity prices (particularly pork and cement) had leveled off during March, except condensed milk prices which were risirg because of supply shortages. Thanh felt that strikes at the port of Da Nang threatened to increase the cost of living in that area, but the congested port conditions in Saigon. would improve during the next three months because of US assistance in customs and clearance procedures. 15. Embassy Saigon believes that Thanh's tax measures will produce less than one million piasters in additional revenue and that, in any event, they will fall far short of the four billion piasters in taxes agreed on at Honolulu. Our embassy also Approved For Release 2007/09/04: CIA-RDP79T00826A000500010052-3 Approved For Release 2007/09/04: CIA-RDP79T00826A000500010052-3 believes that Thanh is overly optimistic about the stability of commodity prices. The comparative price stability of the past few weeks is largely the result of the caution and restraint by the business community, because of the anxiety and un- certainty generated by GVN economic policies. Con- trary to Thanh's statement, condensed milk prices have fallen because of the arrival of PL 480 sup- plies. 16. Governor Hanh of the National Bank told embassy officers on 1 April that the political crisis had exacerbated the economic slowdown which was originally precipitated by the execution of the Chi- nese businessman, low official prices for importers, and police pressures on the business community. He confirmed, however, that the police presently have stopped checking the books of importers. Moreover, although Hanh was originally in favor of an import deposit system, he now feels that such a system would cause many importers to back away from import- ing. He feels that the GVN should do everything pos- sible to encourage importers rather than place addi- tional burdens on them. He favors an increase in official prices to permit importers to make a reason- able legal. profit, even though he realizes that official prices cannot be raised for political reasons. Embassy Saigon comments that, while almost everyone agrees on the desirability of raising official prices, nobody is willing to initiate such action in view of the present state of political flux. 17. According to the USAID Index, retail prices in Saigon for the week ending 28 March were one per- cent above a month ago. The increase in rice prices, following the announcement by the GVN of a high pur- chase price for rice, was the primary factor. 18. In the Saigon free market, the prices of $10 bills and $10 MPC (scrip) rose by one piaster each to 166 and 115 per dollar respectively, Gold prices fell from 246 piasters per dollar to 242, thus re- versing the trend of the previous two weeks. In Hong Kong, the piaster dollar cross rate, after re- maining at 159 for six weeks, fell to 155. -6- SECRET Approved For Release 2007/09/04: CIA-RDP79T00826A000500010052-3 Approved For Release 2007/09/04: CIA-RDP79T00826A000500010052-3 1. The over-all level of Communist-initiated activity continued high for the week ending 2 April. 2. During the period there were 905 Communist- initiated incidents compared to the previous week's 1,064. There were eight attacks, of which one was large-scale, and 651 acts of terrorism, compared to the previously reported 15 and 671. The continued high rate of terrorism can be attributed to increased attempts to intimidate the population and stem anti- Viet Cong sentiment. Reports received indicate that the people blame the Viet Cong for the injuries sus- tained from increased allied artillery and air at- tacks. The kill ratio favored Free World forces 4.0 to 1, down from the preceding week's 4.2 to 1. A fifty-percent decrease was registered in Viet Cong casualties with 962 killed and 72 captured reported. Vietnamese casualties for the period were 155 killed, 337 wounded and 26 missing or captured--a total of 518 compared to the last period's 996. United States losses for the week were 101 killed, 690 wounded and 12 missing--a total of 803 compared to the last re- port of 726. Free World forces' losses decreased from 86 to 69. The South Vietnamese lost 104 weap- ons (two crew-served) and captured 255 (eight crew- served. KIA WIA MIA/ TOT CAPTURED CASUA AL LTIES US 101 690 12 80 3 ARVN 155 337 26 51 8 THIRD COUNTRY 18 51 0 6 9 VIET CONG 962 --- 73 1,03 5 GVN/Allied Activities 3. Friendly large-unit operations again increased with 108 recorded. Small-unit actions decreased while enemy contacts remained about the same. 4. In I Corps, Army of Vietnam (ARVN) units and elements of the 3d Marine Amphibious Force reacted to SEC;1ZE'l' Approved For Release 2007/09/04: CIA-RDP79T00826A000500010052-3 Approved For Release 2007/09/04: CIA-RDP79T00826A000500010052-3 a Viet Cong attack in Quang Ngai Province on 28 March with Operation INDIANA/QUYET THANG 72. During the operation, which terminated on 30 March, the marines lost 11 killed and 45 wounded while inflicting losses of 69 killed, six captured, and 19 individual weapons on the Viet Cong. In Quang Nam Province, US Marines terminated Operation. KINGS on. 28 March. US losses in the eight-day operation were five killed and 46 wounded while Viet Cong losses were 59 killed, one captured, and 14 individual weapons. The 1st ARVN Division conducted Operation LAM SON 250 in Quang Tri Province from 27 to 30 March, during which a significant engagement took place with the Viet Cong 804th Main Force Battalion. Final results were 35 friendly killed and 80 wounded; Viet Cong losses were 58 killed, six captured and 25 individual weapons. 5. In II Corps, elements of the US lst Cavalry Division participating in Operation LINCOLN in Pleiku Province encountered heavy resistance on 30 March. Cumulative results to date are 33 US killed, 83 US wounded, five missing, and three UH1D Iroquois heli- copters destroyed. Viet Cong losses are 373 killed, seven captured, plus 79 individual and six crew- served weapons. The forces involved in US/RO.K Oper- ation FILLMORE have had a series of minor clashes with the Viet Cong. Cumulative results from the continuing search-and-destroy operation are six US killed and 37 wounded (33 US, 4 ROK). Friendly forces have inflicted losses on the Viet Cong of 115 killed, 26 captured and 26 individual weapons. The final results of Operation MANG HO V, terminated by the Capital ROK Division in Binh Dinh Province on 26 March, were 1.7 friendly killed and 48 wounded, while Viet Cong losses were 349 killed, 281 captured plus 27 individual and two crew-served weapons. Three operations conducted by ARVN forces (two in Binh Dinh Province, one in Kontum Province) resulted in total friendly losses of 38 killed, 64 wounded, and Viet Cong losses of 200 killed and five indi- vidual weapons. 6, In III Corps, elements of the US 25th In- fantry Division conducting Operation CIRCLE PINES south of Cu Chi, Hau Nghia Province, have killed 149 Viet Cong, captured five and also 13 individual weapons and one crew-served weapon. Friendly forces have lost 32 killed and 195 wounded. NEZ.RL`I' Approved For Release 2007/09/04: CIA-RDP79T00826A000500010052-3 Approved For Release 2007/09/04: CIA-RDP79T00826A000500010052-3 7. There were no operations of significance in IV Corps during the week. 8. Free World forces conducted 108 battalion or larger-size operations during the week; 46 achieved contact--32 ARVN, 10 US, two ROK, and two combined. There were 19,177 small-unit operations, including 3,309 conducted by US forces. Of the 133 achieving contact, 79 were conducted by US units. 9. There were fourteen B-52 Stratofortress mis- sions flown over South Vietnam during the week ending 3 April with ground follow-up action scheduled for only one of these missions. Post-strike photography reports on FINE SAND IV shows 73 craters inside the impact area and 27 outside. three mid-February strikes in Tay Ninn Province, NET TON I, II, and III, resulted in 75 to 145 Viet Cong personnel killed or wounded. In the same area a radio station reportedly was partially destroyed, a large number of barracks, several liaison stations, and the headquarters of the Viet Cong provincial commander were destroyed. During the period 25-31 March a total of 3,231 tactical air strikes and armed reconnaissance sorties were flown by the combined efforts of the US Navy, Air Force, Marine and VNAF aircraft. 10. In addition to close air support, direct air support and interdiction missions in support of ground operations, pilots reported the following dam- age was inflicted: 3,072 structures, 90 sampans, 29 bunkers were destroyed; 2,114 structures, 37 sampans, seven. bunkers and three AW sites were damaged. In addition, there were four roads cratered, 14 caves and 22 foxholes collapsed and 41 secondary explo- sions were observed. A Marine F8E Crusader crashed after a bombing run south of Da Nang from an. unknown. cause; the pilot is listed as missing. A Navy A4E Skyhawk pilot was rescued after he ejected from his aircraft when it had a flame-out. An. Air Force F-100 Supersabre was shot down by enemy ground fire south- west of Saigon. The pilot was rescued. Communist Activity 11. The highest incident rate for South Vietnam during the week occurred in. I Corps, with 286 reported. SECRET Approved For Release 2007/09/04: CIA-RDP79T00826A000500010052-3 Approved For Release 2007/09/04: CIA-RDP79T00826A000500010052-3 ar(ai ill *40 On. 28 March, an. un.iden.tified Viet Con.g battalion.- size force attacked the positions of the 3d Battalion, 5th ARVN Regiment in Quang Ngai Province. Friendly forces lost three killed and 21 wounded. The Viet Cong lost 70 killed and eleven weapons. The district towns of Trieu Phong, Quan.g Tri Province, and Phu Loc, Thua Thien. Province, were mortared by the Viet Cong. Special Forces units report that an. unidentified 1,800-man. regiment armed with antiaircraft weapons and 120-mm. mortars has infiltrated into Quan.g Tri Prov- ince. It has also been. reported that the 118th PAVN Battalion (estimated strength 400) is located in the province area. This battalion, could be part of the unidentified regiment. The presence of these units and others previously reported could cause a serious threat to the Khe Sanh Special Forces camp, the Ba Long Valley outpost, as well as other district towns and friendly units in the two northern provinces. Reported Viet Cong unit movements in other provinces indicate the possibility that five enemy regiments now may be in Quan.g Ngai Province. 12. Viet Cong activity decreased in. II Corps dur- ing the week. Despite decreased activity, indica- tions are that concentrated efforts will be made against friendly installations in, the area. Likely targets for future attacks are the district towns of Plei Me, Duc Co, and Le Thanh in Pleiku Province. A captured Viet Cong document identified the 3d Battalion., 101st PAVN Regiment in. Quang Duc Province. This is the first report since October 1965 of ele- ments of this regiment in Quang Duc Province. 13. An, estimated two-company Viet Con.g force at- tacked Xuan Loc, Long Khanh Province in. III Corps. The headquarters of the 10th ARVN Regiment, the province capital and the Xuan. Loc Airfield received 75-mm. recoilless rifle, 81--mm. mortar, and small- arms fire during the attack. On 28 March, the 3d Brigade, US 1st Infantry Division at Lai Khe, Binh Duon.g Province, received 10 rounds of mortar fire later identified as 4.2 inch. This is the.first confirmed in:stanc.e Of the Viet Con.g employing 4.2 inch mortars in III Corps. The Viet Cong captured two 4.2 inch mortars in. Quan.g Ngai Province in October 1964 and two in Dinh Prov- ince in. December 1964. In, the Capital Military SEG`E.ET Approved For Release 2007/09/04: CIA-RDP79T00826A000500010052-3 Approved For Release 2007/09/04: CIA-RDP79T00826A000500010052-3 CURRENT OPERATIONAL STATUS OF MAJOR TRANSPORTATION ROUTES AND COASTAL RAILROAD 1--~-i- Section of operable railroad Section of inoperable road Note: Routes are inoperable primarily because of Viet Cong sabotage/ interdiction efforts. Approved For Release 2007/09/04: CIA-RDP79T00826A000500010052-3 Approved For Release 2007/09/04: CIA-RDP79T00826A000500010052-3 Region, Viet Cong terrorists attacked the Victoria Bachelor Officers' Quarters in. Saigon. The terror- ists drove an explosive-laden. truck to within 15 feet of the entrance, killed the guards and deto- nated the explosives. The explosion caused six deaths (3 US, 3 VN) and 116 wounded (107 US, 3 AUS, 6 VN). The lower three floors of the structure were heavily damaged while the remaining floors and an, adjacent building sustained moderate damage. It is believed that one Viet Con.g was killed in the attack. Two suspects have been detained.. 14. Acts of terror increased in IV Corps during the week with 234 reported. This increase can be attributed to stepped-up tax collection efforts by the Viet Cong. As a result of attacks by Viet Con.g forces of unidentified size on, two posts in. Bac Lieu and Kien. Phon.g provinces, ARVN forces suffered losses of 12 killed, 20 wounded, 17 missing, and 43 weapons. The Viet Con.g lost two killed and one weapon. 15. National Route 1 is closed -south of Mo Duc in. Quang Ngai Province; and in. Binh Dinh, Phu Yen, Khanh Hoa, Ninh Thuan, Binh Thuan, Binh Tuy, and Long Khanh provinces. Route 14 is closed north of Dak To in Kontum Province; in Pleiku Province south of Pleiku City; and in Darlac, Quang Duc, Phuoc Long, and Binh Long provinces. Route 9 is closed in Quang Tri Province. Route 4 is closed in Vinh Long Prov- ince. 16. The National Railroad is operating between Saigon and Xuan Loc, Long Khanh Province; between Ca Na, Ninh Thuan Province and Ninh Hoa, Khanh Hoa Province; between Dalat in Tuyen Duc Province and Phan Rang, Ninh Thuan Province. Approved For Release 2007/09/04: CIA-RDP79T00826A000500010052-3 Approved For Release 2007/09/04: CIA-RDP79T00826A000500010052-3 C. REVOLUTIONARY DEVELOPMENT 1. In the opinion of US Mission officials approx- imately 90 percent of the population is not involved with and is not sympathetic toward the political power struggle between the ruling military elite and the in- fluential clerical elite. This apathy toward the civil- ian-military struggle movement is the result of the popular view that the parties, with which the individual Vietnamese does not identify, are dealing with an issue, civilian constitutionalism, which is too abstract for him to perceive. Even thought the struggle has been cast in the name of the people and their right to self- determination, the populace has been inculcated with "attentisme" (a wait-and-see attitude) for too many centuries to identify actively with the major pressure groups. 2. An objective of the revolutionary development program is to gradually involve accessible portions of this 90 percent of the population with the government's programs so that the individual can perceive the issues and rationally support a government which is acting on its behalf. Nearly three million of the country's 16 million people live in urban, GVN-controlled areas, which means that approximately 80 percent of the popula- tion is rural. About 85 percent of the population is engaged in agriculture as a means of living. 3. In February, the chiefs of An Giang and Chau Doc provinces were replaced. Both provinces are heavily influenced by the Hoa Hao religious sect. The changes thwarted moves to extend this influence in the delta. The An Giang Province chief, Colonel Tran Van Tuoi, who had successfully led the effort to make the province the most secure in the country, has not been reassigned. Former Chau Doc Province chief, Colonel Ly Ba Pham, who is a Hoa Hao, will run An Giang. It is now a National Priority Area for Revolutionary Development and receives the largest provincial budget. Colonel Pham reportedly will continue the emphasis on construction and develop- ment but will be less solicitous of the all Hoa Hao provincial council which is irritated by Pham's decision to exclude it from participation in the province's rev- olutionary program. 4. Provincial requests for revolutionary develop- ment funds are being rapidly approved and the level of c L- (;RE 1, Approved For Release 2007/09/04: CIA-RDP79T00826A000500010052-3 Approved For Release 2007/09/04: CIA-RDP79T00826A000500010052-3 expenditures is running approximately one million Vietnamese piasters (US $10,000) per day more than that expended during the comparable period in 1965. Instructor training at the National Cadre Center in Vung Tau has met with a setback. Only 70.of the necessary 150 specialist instructors (for Civil Af- fairs, Census-Grievance, and New Life Development) have been obtained for training. The lack of quali- fied instructors will have its greatest effect on the second class of trainees scheduled to begin at mid-year. This class is intended to provide for 3,200 specialist cadre. 5. Returnees (Chieu Hoi). With 27 of 43 provinces reporting, 323 returnees presented them- selves to Chieu Hoi centers during the week which began on 19 March. In toto, 1,724 military and political Viet Cong have rallied during the first 25 days of March. The figure is approximately com- parable to the record February period. 6. Refugees. On 26 March, a Viet Cong platoon entered a reTugee camp in Quang Ngai Province and harangued the 1,655 inhabitants to return to their native villages. When the refugees refused, the Viet Cong tried to destroy the 150 houses there. Four hundred of the villagers whose houses were destroyed fled to the district headquarters, where they were supplied with emergency rations and were promised help to rebuild their homes. SECRET Approved For Release 2007/09/04: CIA-RDP79T00826A000500010052-3 Approved For Release 2007/09/04: CIA-RDP79T00826A000500010052-3 CHINA ~? X%.ong Van .1`?? 1 1 Bao Lac? x...1??1 ..ti. -.i ~.. ?~ Ban Chieng T H A I L A N D ~? NORTH VIETNAM 25 50 75 Miles 25 50 75 Kilometers --s Bq Ho Su .,-,DEMARCATION LINE Dong Ha ? ?Quang Tri SOUTH Hue ? w ` VIETNAM Muong Nong""'-. Phu Ly0 Nam Dinh Ninh Binh.'' Approved For Release 2007/09/04: CIA-RDP79T00826A000500010052-3 Approved For Release 2007/09/04: CIA-RDP79T00826A000500010052-3 II. DEVELOPMENTS IN THE BLOC 1. Speeches by the heads of the North Viet- namese and Liberation Front delegations at the Soviet party congress this week reflected the Viet- namese Communist efforts to maintain their middle position in the Sino-Soviet dispute. 2. North Vietnamese party First Secretary Le Duan's speech to the Congress appeared to be a clear- cut reaffirmation of basic North Vietnamese policy-- to push ahead with the war in Vietnam and to garner support from both the Soviet and Chinese Communist camps. Le Duan devoted much of his speech to the war in Vietnam, stressing Hanoi's determination to pursue the war, expressing gratitude for the past help of all Communists, and urging even more aid for Hanoi. His expressions of gratitude to the Soviet Union will undoubtedly sit poorly with Peking, as will his praise of the Soviets as "the reliable bulwark of exploited peoples throughout the world in the struggle against the forces of international reaction." Peking is unlikely, however, to view Le Duan's performance at the Moscow conference as cause to change its basic policy of support for Hanoi in the war. 3. The Le Duan speech was undoubtedly intended to make it clear that Hanoi has refused to follow Peking down the path toward a complete break with Moscow. On balance, the speech was a tactical victory for Moscow over the Chinese, but the Soviet leader- ship was made aware once again that Hanoi's willing- ness at present to give Moscow its due is based mainly on its need for continued Soviet aid in the war. Le Duan emphasized that Hanoi continues to believe, as does Peking, that the war can and should be pushed to eventual victory despite the threat of larger US intervention in the conflict. 4. The speech of the South Vietnam Liberation Front delegate, Madame Nguyen Thi Binh, offered the themes of Communist determination to carry on the war, and gratitude for Soviet aid as expressed by Le Duan. She summed up the Front's adamant stand on the subject of a political settlement of the war by insisting that the US must withdraw from South Vietnam, recognize the Front, and "recognize the fundamental rights of the South Vietnamese people as defined by the Geneve agree- ments." SE CRET J Approved For Release 2007/09/04: CIA-RDP79T00826A000500010052-3 Approved For Release 2007/09/04: CIA-RDP79T00826A000500010052-3 1. On 2 April, according to Seoul press reports, South Vietnamese Minister of Economy and Finance Au Truong Thanh arrived in Seoul for a four-day visit to discuss trade matters between the two countries. 1. During an interview to Vietnam Press on 1 April regarding the current Laos situation, GVN Foreign Minister Tran Van Do stated that the presence of North Vietnamese troops in Laos constituted an obvious case of massive aggression as well as a constant threat to the peaceful solution of the Viet- nam problem. Do added that Laotian developments showed that Hanoi regarded the concept of a coali- tion government as nothing more than a Trojan Horse device of obtaining power through ostensibly legal means. 1. West Germany. A twelve-member German delega- tion headed By Kmbassador-at-large Schmidt-Horix visited Saigon from 17 to 30 March to discuss with the GVN and the US mission plans for major increases in German aid to Vietnam. The delegation signed an agreement with the GVN to station the 3,000-ton hospital ship Helgoland in Saigon harbor. (The ship is expected to arrive in late June.) The West German group also reviewed a number of other specific German aid projects and considered ways to expedite them. 2. Republic of Korea. General Chang-kuk, chair- man of the ROK Joint Chiefs of Staff, flew to Saigon OD, 5 April for a ten-day visit to discuss the des- patch of an additional 20,000 ROK troops to South Vietnam. Although the opposition parties have re- cently reiterated their opposition to more troops because of the current political crisis in Vietnam, the minister of national defense told the National Assembly that the troops will go as scheduled. XNEGRE'T Approved For Release 2007/09/04: CIA-RDP79T00826A000500010052-3 Approved For Release 2007/09/04: CIA-RDP79T00826A000500010052-3 SOUTH VIETNAM BALE STATISTICS WEEKLY REPORT 26 MARCH--2 APRIL 1966 Viet Cong Incidents Viet Cong Attacks Weapons Losses Atta cks EE e Te rro rism Sa bota ge Prop aga nda Antiaircraft Fire is 2 9 .11 -07 M AR AP R M AY JU NE J ULY A UG SE PT OCT NO V DE C JAN FE:: MAR Company and battalion sized attacks ---- Battalion sized (and larger) attacks only Government Viet Cong Approved For Release 2007/09/04: CIA-RDP79T00826A000500010052-3 IililIrli11I MAY I JUNE I JULY I I`r?1 I I 711 AUG I SEPT OCT f 1 I NOV DEC I JAN i FEB MAR NOV I DEC I JAN I FEB MAR I 255 104 Approved For Release 2007/09/04: CIA-RDP79T00826A000500010052-3 SOUTH VIETNAM BATTLE STATISTICS WEEKLY REPORT 26 MARCH 1966- 2 APRIL 1966 ( IIIIIIp(III111I1!Ji!I 1 l l I i i i"l l T ~ F I B l- ~ l- GVN /US/other Free World ! ! 3 Viet Cong/PAVN hEt`M I US onl a! i ~ ~ J l_~ I Total Personnel Losses (Killed in Action, Captured or Missing in Action, excluding Wounded in Action) 255 1365 1243 2863 1524 6110 7093 14,727 12 136 41 189 UNE I JULY I AUG I SEPT I OCT 1 NOV I DEC 1 JAN I FEB TMAR Total Friendly Forces Personnel Losses (US/GVN/Other Free World) Killed in action Missing or Captured in action Wounded in action US Combat Casualties in Vietnam (including North Vietnam) Cumulative, 1961-1964 Cumulative, 1965 Cumulative, 1966 to date Approved For Release 2007/09/04: CIA-RDP79T00826A000500010052-3 Approved For Release 2007/09/04: CIA-RDP79T00826A000500010052-3 swl VOW SECRET SECRET Approved For Release 2007/09/04: CIA-RDP79T00826A000500010052-3